Appili Therapeutics Reports Financial Results for Second Quarter of Fiscal Year 2020
HALIFAX, Nova Scotia, November 27, 2019 – Appili Therapeutics Inc. (TSXV: APLI) (the “Company” or “Appili”), a biopharmaceutical company focused on anti-infective drug development, today reported its financial and operational results for the second quarter of its fiscal year 2020, ending September 30, 2019.
“Appili is built to capitalize on the current market inefficiencies in infectious disease by identifying and acquiring promising assets where our expert team can unlock significant value,” said Kimberly Stephens, Chief Financial Officer of Appili Therapeutics. “Since becoming a public company, we demonstrated our ability to execute on this mission by negotiating the purchase of ATI-2307 from FUJIFILM Toyama Chemical Co., Ltd. This agreement was executed with no up-front payments, adding immediate incremental value to the company.”
Second quarter and recent operational highlights include:
Acquiring ATI-2307, a novel, clinical stage antifungal candidate from pharmaceutical company FUJIFILM Toyama Chemical Co., Ltd.; ATI-2307 is in development to address the growing number of resistant and difficult-to-treat invasive fungal infections and has successfully completed three Phase 1 clinical trials
Generating positive interim preclinical data on ATI-1701, the Company’s biodefense vaccine candidate, showing complete (100%) protection from exposure to the dangerous pathogen Francisella tularensis 90 days after vaccination (the longest vaccine protection period tested to date in this model)
Key team enhancements, including the appointment of Myriam Triest, PhD, to Senior Director, Drug Development and promotion of Stéphane Paquette, PhD, to Director, Business Development
“With the U.S. Centers for Disease Control and Prevention recently releasing a report showing that multidrug resistant infections are an even stronger threat to public health than previously estimated, our mission is more critical than ever,” continued Ms. Stephens. “We will continue to be part of the solution to global public health issues that threaten our way of life as we address unmet patient needs while supporting our shareholders’ interests.”
The Company prepares its financial statements in accordance with IFRS as issued by the International Accounting Standard Board and Part I of Chartered Professional Accountants of Canada Handbook –Accounting. All dollar figures are $CAN unless otherwise noted.
The net loss and comprehensive loss of $2,948,832 or $0.09 loss per share for the six months ended September 30, 2019 was $1,132,225 higher than the net loss and comprehensive loss of $1,816,607 or $0.06 loss per share during the six months ended September 30, 2018. This relates mainly to a $1,149,319 decrease in government assistance, a $420,657 increase in general and administrative expenses, and a $260,215 increase in business development expenses, and a reduction of accreted interest by $112,937, offset by a $810,903 decrease in research and development (R&D) expenses.
As of September 30, 2019, the Company had cash and short-term investments of $3,071,631, compared to $5,451,578 at March 31, 2019.
As of November 26, 2019, the Company had 33,588,947 Class A common shares (“Common Shares”) issued and outstanding. In addition, the Company had 2,716,025 stock options and 934,251 warrants outstanding as of November 26, 2019.
The Company’s unaudited interim condensed financial statements for September 30, 2019 and the management discussion and analysis (MD&A), are available on SEDAR at www.sedar.com.
About Appili Therapeutics
Appili Therapeutics, Inc. was founded to advance the global fight against infectious disease by matching clearly-defined patient needs with drug development programs that provide solutions to existing challenges patients, doctors, and society face in this challenging disease space. Appili has built a pipeline of assets designed to address a broad range of significant unmet medical needs in the infectious disease landscape. This diverse pipeline aims to address some of the most urgent threats in global public health. Appili acquired ATI-2307, a novel, broad spectrum, clinical stage antifungal, in development to address severe and difficult-to-treat invasive fungal infections. Via an in-licensing program, Appili acquired the rights to ATI-1701, a vaccine for tularemia, being developed to mitigate the risks of a very serious biological weapons threat. ATI-1503 is a drug discovery program aimed at generating negamycin analogue candidates, which are a novel class of antibiotics with broad-spectrum activity against Gram-negative superbugs. ATI-1501 employs Appili’s proprietary, taste-masked, oral-suspension technology with metronidazole for the growing number of patients with difficulty swallowing. Headquartered in Halifax, Nova Scotia, with offices in Mississauga, Ontario, Appili is pursuing worldwide opportunities in collaboration with science and industry commercial partners, governments and government agencies. For more information, visit www.AppiliTherapeutics.com.
This news release contains “forward-looking statements” which reflect the current expectations of the Company’s management future growth, results of operations, performance and business prospects and opportunities. Wherever possible, words such as “may “, “would “, “could “, “should”, “will,” “anticipate,” “believe,” “plan,” “expect,” “intend,” “estimate,” “potential for” and similar expressions have been used to identify these forward-looking statements. Forward-looking statements involve significant known and unknown risks, uncertainties and assumptions, including, without limitation, those listed in the annual information form of the Company dated July 2, 2019 and the other filings made by the Company with the Canadian securities regulatory authorities (which may be viewed at www.sedar.com). Should one or more of these risks or uncertainties materialize or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements may vary materially from those expressed or implied by the forward-looking statements contained in this news release. These factors should be considered carefully, and prospective investors should not place undue reliance on the forward-looking statements. The Company disclaims any intention or obligation to revise forward-looking statements whether as a result of new information, future developments or otherwise, except as required by law.
Neither the TSX Venture Exchange, nor its regulation services provider (as that term is defined in the policies of the exchange), accepts responsibility for the adequacy or accuracy of this release.
Media Relations Contacts:
Andrea Cohen, Sam Brown Inc.
Investor Relations Contact:
Kimberly Stephens, CFO